SEOUL, March 19 (AJP) - Korean stocks tumbled Thursday, tracking a broad selloff across Asia, while the won broke past the key 1,500 level against the dollar as surging oil prices and escalating Middle East tensions triggered heavy foreign outflows.
The benchmark KOSPI fell 2.7 percent to close at 5,763.22, after briefly touching an intraday low of 5,738.95.
The Korean won weakened to 1,500.6 per dollar at the close, breaching the psychological 1,500 threshold as risk-off sentiment intensified and capital outflows accelerated.
Foreign investors led the selloff, dumping 1.87 trillion won ($1.25 billion) worth of shares on the KOSPI, while institutions sold an additional 665.9 billion won. Retail investors bought 2.41 trillion won, absorbing the bulk of the selling.
The divergence in flows reflected a classic risk-off pattern, with offshore capital exiting aggressively as currency volatility spiked.
Technology heavyweights bore the brunt of the decline. Samsung Electronics fell 3.8 percent to 200,500 won, while SK hynix dropped 4.1 percent to 1,013,000 won, tracking weakness in global semiconductor shares. NAVER and Kakao declined 2.7 percent and 2.9 percent, respectively.
Cyclical sectors also came under pressure. Hyundai Motor fell 3.3 percent and LG Energy Solution slipped 3.3 percent, as rising oil prices and rate concerns weighed on growth-sensitive stocks.
Hybe dropped 3.5 percent to 354,500 won ahead of BTS’s comeback, as broader market risk aversion overshadowed event-driven optimism.
The tech-heavy KOSDAQ fell 1.79 percent to 1,143.48.
Foreign investors sold 202.6 billion won on the KOSDAQ, while institutions offloaded 262.3 billion won. Retail investors bought 502.1 billion won, mirroring the KOSPI pattern.
Losses were broad-based across sectors, with electronics, securities and industrials leading declines as tightening financial conditions and geopolitical risks dampened investor appetite.
In contrast, select energy-linked plays rallied. SK Eternix surged 26.1 percent, extending its monthly gain to nearly 95 percent, as investors rotated into renewable energy stocks as a hedge against rising crude prices. Samsung Electro-Mechanics rose 3.34 percent.
Construction stocks also outperformed, with Daewoo Engineering & Construction gaining 8.7 percent on expectations of overseas infrastructure and nuclear power projects.
Overnight on Wall Street, major indexes fell, with the Dow Jones Industrial Average down 1.6 percent, the S&P 500 losing 1.4 percent and the Nasdaq declining 1.5 percent. The Philadelphia Semiconductor Index slipped 0.5 percent, while Nvidia and ASML fell 0.8 percent and 2.5 percent, respectively.
Oil remained the central driver of sentiment. Brent crude surged 6.5 percent to $114.4 per barrel, while West Texas Intermediate rose to $97.3, heightening inflation concerns and reinforcing fears of prolonged supply disruptions tied to attacks on Middle Eastern energy infrastructure.
Market volatility spiked, with the VIX jumping 13.8 percent to 25.5, signaling elevated investor anxiety.
Across Asia, markets broadly declined under the weight of energy shocks and tightening financial conditions.
Japan’s Nikkei 225 plunged 3.4 percent as investors unwound positions ahead of the Vernal Equinox Day holiday. Hong Kong’s Hang Seng fell 2 percent, while China’s Shanghai Composite dropped 1.4 percent.
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